Today's Highlights
Trumponomics Revealed
Another Scottish Referendum
Snap Snap Snap
Please note: All data figures and graphs are valid as of February 27th. All trading carries risk. Only risk capital you're prepared to lose.
Market Overview
The markets are showing very clear signs of fear at the start of this trading week. At the moment, everybody is bracing themselves for Trump's visit to congress tomorrow. DJ Trump is a leader who really likes to control his environment and rarely speaks in places that he doesn't have full control. We can see this by the fact that he has banned news agencies like CNN, the BBC, and the Guardian from attending a press briefing on Friday, and by the fact that he will not be attending the annual White House Correspondents Dinner where the President is usually the guest of honour.
It will be very interesting and more than a little frightening to see how he'll hold up in a place like the U.S. Congress. Many expect that we will get some further insight into how the budget will be handled and how Trump sees the future of the U.S. economy, but as with everything Trump, we really never know what he's going to do or say.
The need for safety in the market is very clear and evidenced by gold and silver, which are holding tightly to their gains from last week. The U.S. Stock markets managed to etch out very tiny gains on Friday, with the Dow Jones posting it's 11th straight all-time high, something that hasn't happened in about 70 years. However, the rest of the markets are not sharing the U.S.'s enthusiasm.
Markets in Europe and Asia are firmly down.
Meanwhile in the UK
The British pound is falling again this morning, but only lightly, after it has become clear that Theresa May may back a second Scottish referendum after the Brexit is complete.
Here we can see the GBP/USD this morning. The white circle is the weekend gap. So we can tell that it was already falling before this news broke, but it was pushed down further.
Overall, the pound has been pretty stable as we can see by zooming out a bit.
However, a drop below 1.2350 could prove fatal.
The news of the next possible referendum has dropped the pair to its lows. All eyes are now on the House of Lords to see if they pass May's Brexit Bill cleanly or if they want to put any preconditions that would hurt the UKs ability to negotiate.
Snapity Snap
Snap's IPO is coming to eToro!!
As you may have already heard, the company behind the massive selfie service Snapchat is offering their shares to the general public, possibly this week.
This is set to be the biggest tech IPO since Alibaba (NYSE:BABA) and analysts expect it to fetch around $3 billion at public auction. Not bad for a company with more than 300 million active users and about 9,000 pictures uploaded every second.
Of course, there's no chart just yet since there is no price history but the blue Trade button is live and working so feel free to get your advanced order in already.
Please note that as in any IPO things can get a bit hectic. The first shares are generally reserved for the underwriters of the stock and partner financial institutions. Only once those commitments are satisfied will it be available for retail investors. This process can take anywhere from an hour to more than a day.
All orders will be executed only once we are able to receive the liquidity.
Let's have an awesome week!!
This content is for information and educational purposes only and should not be considered investment advice or an investment recommendation.
Past performance is not an indication of future results. All trading carries risk. Only risk capital you're prepared to lose.